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Photo Courtesy - The report covers the first six months of BBC director-general Tim Davie’s tenure (PA)
 
 

Sports presenter Gary Lineker is still the BBC’s highest earning on-air talent, despite last year agreeing to a pay reduction of around £400,000.

Zoe Ball remains the broadcaster’s second highest paid talent after requesting a pay cut when agreeing a new two-year deal as Radio 2’s breakfast host.

The corporation’s annual report for 2020/21 shows it has slashed 10% from its pay bill for top talent, after some of its biggest names agreed to salary cuts or quit.

It was announced last year that Match Of The Day host Lineker had taken a pay cut, which reduced his pay from £1.75 million to £1.36 million.

 

The 60-year-old first topped the list for 2017-18 with a pay bracket of £1,750,000 and £1,759,999.

Meanwhile, Ball asked to reduce her pay by 28% to £980,000 to reflect the impact of the coronavirus pandemic.

Top 10 highest BBC on-air salaries 2020/21
(PA Graphics)

This figure is lower than is listed in the 2020/21 annual report, which shows her earnings to be in the bracket of £1,130,000-£1,134,999 and which represents only a few months of Ball’s new salary deal – including the reduction the presenter requested.

A BBC spokeswoman said: “Zoe Ball is a world-class broadcaster hosting Radio 2’s flagship show and her professionalism and commitment to the Breakfast Show is extraordinary.

“She’s hugely talented and has made the show her own, with many millions of listeners tuning in each morning to the nation’s most listened to Breakfast Show.”

Zoe Ball on first day hosting BBC 2 Breakfast Show – London
Zoe Ball had asked for a pay cut (Yui Mok/PA)

Speaking during the launch of the report, BBC director-general Tim Davie said discussions with top on-air talent over reducing their pay packets had been “mutual and constructive”.

“I am not going to give information on the specifics of the conversations,” he said.

“All I would say is I think everyone recognises the strategy, which is getting value to audiences and, without being funny, most conversations are mutual and constructive.

“Now, clearly as a management team, we want to get more value and we are willing to make tough decisions to that extent.

“I think these conversations have all been constructive, as with Zoe Ball where she came forward and said she wanted to adjust the salary. I think everyone is absolutely with the programme on that one.”

 
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The report also shows that:

– The gender balance of the top 10 highest-paid on-air talent was the same in 2020/21 as 2019/20, with six males and four females.

– Graham Norton is the only person to drop out of the top 10, after being the third-highest earner in 2019/20. He left his Radio 2 Saturday show for Virgin Radio in December last year, and appears on the 2020/21 list with a salary of £155,000-£159,999. Norton’s popular TV chat show is produced by his own So Television and distributed by BBC Studios.

– The one new name in the top 10 is Radio 1 DJ Scott Mills, who is listed with a salary of £375,000-£379,999.

– The total number of staff with salaries above £150,000 has gone down slightly, from 76 in 2019/20 to 72 in 2020/21.

Since 2017, the BBC has been made to publish the names of those earning more than £150,000 each year, a move instigated by the Government.

But pay packets made through BBC Studios, the broadcaster’s commercial arm, are not revealed.

Mr Davie said it was “absolutely appropriate” that the broadcaster did not reveal BBC Studios pay and that he would “defend robustly” the current system

Tim Davie
The report covers the first six months of BBC director-general Tim Davie’s tenure (PA)

Claudia Winkleman, who has replaced Norton as Radio 2’s Saturday host, does not feature on the list this year, with her salary from hosting Strictly Come Dancing also not included because it is also a BBC Studios production.

Huw Edwards, Fiona Bruce, Vanessa Feltz, Ken Bruce and Emily Maitlis have all seen their salaries reduced, while radio presenters Scott Mills and Greg James have seen increases.

The report says: “Covid-19 has made the on-air environment highly volatile, with delays to productions and the cancellation of live events, especially sport.

“Despite this, we have ensured a stable gender split of 56:44.

“We have demonstrated our ability to deliver improvement since initial publication, with further improvement expected in the forthcoming year as we move towards a 50:50 balance on a gender basis.”

It says that “significant reductions” have been agreed with individuals who appear “towards the very top of this list”.

The report covers the first six months of BBC director-general Tim Davie’s tenure.

Mr Davie said in a statement: “The BBC has delivered outstanding content and value to audiences in extraordinary circumstances this year. I am proud of all we have achieved to inform, educate and entertain the Nation in record numbers during the pandemic.

“The BBC is responding to global competition and pressure on our finances. But, we know we must do much more to ensure licence fee payers across the UK get best value from the BBC, to maintain their trust and provide a service they cannot do without.

“I am absolutely focused on making the reforms we need to ensure the BBC is positioned to offer all audiences the best possible service well into the future.”

Conservative MP Julian Knight, chairman of the Digital, Culture, Media and Sport Committee, said the BBC Studios pay figures being withheld meant the public were only getting “half the picture”

He said: “It’s welcome that some of the BBC’s top-earners have agreed to ‘significant reductions’ in their salaries this year. Yet despite taking a pay cut Gary Lineker is still earning £1.36 million.

“There remains a concerning lack of transparency because a number of top-earning stars are paid through BBC Studios and their salaries don’t appear here. Claudia Winkleman is one of those missing from this list despite her work for Radio 2 and presenting Strictly.

“Without any indication of whether these earnings have gone up or down, licence-fee payers are only getting half the picture on whether they are getting value for money.  By Alex Green, Kerri-Ann Roper and Ian Jones, PA/Yahoo News

“It’s time for the BBC to commit to full transparency on its talent bill and drop the smoke and mirrors approach.”

Nizar Juma Chairman Jubilee Holdings during the launch of Explorer health insurance at Serena yesterday. Photo KARUGA WA NJUGUNA

 

Jubilee Holding is in the final stages to switch to name to Jubilee Allianz General Insurance in Uganda, Tanzania, Burundi and Mauritius.

Speaking during the annual general meeting held in Nairobi, Jubilee Holdings Limited Group chairman, Nizar Juma said the transaction is is awaiting regulatory approvals and completion of the separation of the General and Medical business into two separate companies before Allianz can purchase the agreed interests in the General companies.

The two firms completed the Kenya part of the partnership transaction on May 4 where by Allianz became the majority shareholder in Jubilee General Insurance Limited in Kenya after acquiring a 66 per cent stake from Jubilee Holdings Limited (JHL).

Juma said that JHL continues to make innovative changes to products to meet the changing and new customer expectations.

"The firm will continue to add more products and other customer service features to the digital platform to make it easier for customers to interact with the insurance subsidiaries," Juma said.

During the AGM, JHL shareholders confirmed the payment of the final dividend of Sh8 per share as recommended by the board.

This brings to Sh9 the total dividend per share and payment of Sh652.3 million as total dividend for the year.

The 2020 final dividend will be paid on July 26, 2021 to shareholders registered as at May 26.

Despite operating in a challenging environment characterized by the effects of Covid-19 and related lockdowns, the firm  demonstrated resilience to earn a profit before tax of  Sh5.08 billion for the financial period ended December 31,2020, an increase of Sh70 million compared to 2019.

The Group’s total assets increased by 12.1 per cent to Sh145.86 billion from Sh130.08 billion and total shareholders’ equity and reserves increased 15.8 per cent from Sh28.25 billion to Sh32.72 billion, due to an increase in retained earnings and reserves.

Shareholders also approved an amendment of the company’s Articles of Association to allow it buy back its own shares the future in accordance with the provisions of the Companies Act 2015 and guidelines that are currently under development by the Capital Markets Authority.

The ability of a public listed company to buy back its own shares is a common feature of most developed capital markets and is often used as a tool to return value to the shareholders.

A buyback is typically done on the open market when the company purchases the stock from its shareholders directly and returns them to the treasury of the company. - VICTOR AMADALA, The Star

 

Tanzanian President Samia Suluhu Hassan speaks earlier this year before making history as the country’s first female president, following the death of her predecessor John Magufuli. Photo AP

 

Tanzania is negotiating with Chinese investors to revive stalled multibillion-dollar projects, days after President Samia Suluhu Hassan talked by telephone to her Chinese counterpart Xi Jinping.

Hassan announced at the weekend that the East African nation has resumed talks with China’s largest port operator – China Merchants Holdings International – to finally begin construction of the US$10 billion Bagamoyo mega port and special economic zone.

Work on the zone – aimed at transforming the country into a major trade and transport hub – never began, although there was a ceremony in 2015 to officially mark the start of the project. Four years of disagreement under Hassan’s predecessor John Magufuli followed over what were considered unfavourable terms. He finally suspended the scheme in 2019, and died in March this year.

Xi visited Tanzania in 2013 to sign a port deal to kick off the venture – part of China’s Belt and Road Initiative. Now, more than eight years on, some progress could finally be on the horizon after a telephone conversation between Xi and Hassan last week.

Discussions about other delayed schemes are also now taking place between the two nations, including how to revive the development of the US$3 billion Mchuchuma coal and Liganga iron ore projects.

“We have started talks to revive the Bagamoyo port project as well as the Mchuchuma and Liganga projects,” Hassan said, speaking at the 12th Session of the National Business Council in the commercial capital Dar es Salaam on Saturday.

She said the construction of the mega port, 65km (40 miles) north of Dar es Salaam, was important because it would increase the competitiveness of the port and boost the national economy. However, she said national interest would be a priority.

Former president Magufuli had been concerned that the port’s Chinese investor had demanded generous tax breaks in the proposed special economic zone. He had also opposed halting the development of other maritime facilities such as the Dar es Salaam port while the Bagamoyo project moved ahead and rejected Chinese demands for a 99-year management lease of the mega port. The African nation said it was willing to grant a 33-year lease.

Magufuli described the zone’s terms as “exploitative and awkward” and said the Chinese should not “treat us like schoolchildren and act like our teachers”. He preferred to upgrade the Dar es Salaam port rather than build a new one.

On the coal and iron ore projects, Tanzania signed a US$3 billion deal about 10 years ago with Chinese firm Sichuan Hongda to develop coal and iron ore. The deal involved the construction of the Mchuchuma coal mine, the development of a 600-megawatt (MW) thermal power station and the Liganga iron ore mine.

Sichuan Hongda and Tanzania’s state-run National Development Corporation (NDC) formed a joint venture, Tanzania China International Mineral Resources (TCMR), to build the coal and iron ore mines. The Chinese firm was to have an 80 per cent stake.

However, the projects were held back because of financing hitches and a lack of previously negotiated incentives, including tax holidays.

Since coming to power in March this year after Magufuli’s death, Hassan has moved to revive the projects and improve relations with Tanzania’s neighbours and major economies, including China.

Muhidin Shangwe, a political scientist at the University of Dar es Salaam, said China must be encouraged by the new president’s language and approach. A Chinese business delegation visited Hassan a few weeks after she was sworn in, at which point she assured them of her government’s willingness to work with Chinese investors.

“She told them her government was interested in developing special economic zones, which we know have been of huge interest on the Chinese side. The Bagamoyo port is one of those projects,” Shangwe said.

China had also been pushing to advance talks on the subject and it was now clear this was on the agenda when Xi held talks with Hassan recently, Shangwe said. Xi also held similar talks with Magufuli late last year.

“I think Tanzania-China relations will take a new turn given President Hassan’s approach, especially her economic policies whereby she has clearly stated she is opening up the country to foreign investment,” Shangwe added.

Hassan had taken a more conciliatory approach, he said, almost the opposite of Magufuli’s combative style. He said when appointing Liberata Mulamula as minister of foreign affairs the president made it clear “her role was to go out there and mend our relations with the world”.

David Shinn, a professor at George Washington University’s Elliott School of International Affairs, described Magufuli’s relationship with China as mercurial. He once said the Bagamoyo port deal could “only be accepted by mad people”, Shinn said.

However, Shinn said Hassan seemed to be pursuing a more traditional approach with China. “This is likely to improve Tanzania-China relations,” Shinn added.

Mark Bohlund, a senior analyst at REDD Intelligence, said Hassan was returning to the traditional Chama Cha Mapinduzi (CCM) ruling party policy of engaging with external partners after Magufuli’s shift towards self-reliance.

“The abstinence against Chinese loans during the Magufuli era means that China’s loan exposure to Tanzania is low compared to peer countries,” Bohlund said. This was likely to change in coming years with Chinese capital funding an oil pipeline to Uganda as well as other infrastructure projects, he said.

Bohlund said Tanzania’s mineral endowments were perhaps less vital for China than, for instance, those in the Democratic Republic of Congo but would still be a reason for China to maintain good relations with Hassan and the new administration.

Chinese firms China Civil Engineering Construction Corporation (CCECC) and China Railway Construction have started building a US$1.3 billion railroad in Tanzania, awarded earlier this year during a visit by Chinese Foreign Minister Wang Yi.

The firms will build the fifth phase of Tanzania’s Standard Gauge Railway linking Mwanza – a port city on the shores of Lake Victoria – and the southern town of Isaka, 341km away. The Chinese firms had missed out on contracts during the Magufuli era. - Jevans Nyabiage, South China Morning Post

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